Board Boosts Reserve, Starts Fund

September 18, 1996|By MARYELLEN FILLO; Courant Staff Writer

BOLTON — A new fund that will make it easier to give donations to the library and an increase in the town's reserve fund to assure there is money for capital projects won the board of selectmen's approval Tuesday.

An ordinance to establish an independent fund for gifts to the public library and a change in an ordinance to put more money into the town's reserve fund were both approved after a public hearing.

A sparse audience focused comments on the change in the capital reserve account that would boost the annual appropriation from an amount equal to 1 mill in the tax rate to an amount equal to 1.25 mills. Based on the current tax rate of 24.76 mills, the annual appropriation would go from about $250,000 to $312,000.

``Didn't we just raise the amount in this fund?'' asked Mark Johnson, a town resident.

After officials confirmed that the amount had been raised from a half-mill to 1 mill earlier in the year, Johnson suggested the account be left as is and be tested for a year or two before being increased.

First Selectman Carl Preuss explained that town officials had agreed to gradually increase the amount of money that would be appropriated to the account in an effort to ensure funds would be available for capital projects. The new increase was the second phase of the the plan, Preuss said.

One of the problems that must still be addressed with the reserve account, however, is the way in which it is used. The selectmen have been concerned because the fund, traditionally used for one- time expenditures, such as major equipment purchases or isolated building repairs, is being used for routine costs, such as road repairs.

Preuss said he would like the charter revision commission to look into adopting provisions that would specifically outline what the account could be used for, in order to stop future finance boards from paying for routine expenditures with money from the reserve account.

The selectmen said the additional money would help the town make some headway on projects that are long overdue.

``Our frugality has painted us [into a] corner,'' Selectman David Killian said about the lack of money that has forced the postponement of several major projects and purchases. ``We're just trying not to fall any further behind.''